Firm resource orientation and the implementation of supply chain sustainability practices in the logistics industry

Abstract

The design, orientation and configuration of key firm resources, capabilities and processes is increasingly viewed as critical to a balanced achievement of economic, social and environmental goals of supply chains. While the economic dimension of sustainability has been well researched and expounded in literature and practice, comparatively little research exist on the intricacies of balancing the three dimensions of sustainability, especially the influence of firm resource orientation and design on the implementation of supply chain sustainability practices in the logistics industry. The authors aim to develop a model that advances a relationship between the design and configuration of firm physical resources, human resources, technological resources and relational resources and implementation of supply chain sustainability practices. A regression equation model using a sample of 290 logistics firms based in Kenya has been used to test the hypothesised relationship. The theoretical underpinning this study was supported with the results showing that firm resource design influenced the implementation of supply chain sustainability practices, albeit to different proportions. The study provides insights for supply chain and operations managers in the logistics supply chains to leverage the research design and configuration for improved implementation of supply chain sustainability practices. The authors believe that the efforts to determine the association between firm resource orientation and the tripods of sustainability has not been made in Kenya. The paper makes advanced contribution to this literature and practice in Kenya by embedding an established construct of firm resource design into the supply chain literature.